Theravance Biopharma Inc to Sell Trelegy Ellipta Royalty Interests to Royalty Pharma - Conference Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: David Risinger - SVB Securities - Analyst : Thanks very much. And I wanted to say congratulations on a phenomenal transaction and set of announcements today. I have three questions. First, with respect to Ampreloxetine, you had mentioned that $25 million covers most of the Phase III trial cost. But if you could talk about total Ampreloxetine spending that you forecast over the next three plus years, how much do you plan to invest in aggregate so we understand how much Royalty Pharma is funding out of that total figure? Second, with respect to returning capital to shareholders, I know that you mentioned that you're going to be providing more detail soon. Obviously you've indicated you're going to have $430 million in cash net. Could you provide some framework for how much of that you are likely to return to shareholders. And then the next question is with respect to the operating expense outlook, are there any changes to your spending plans for the company? Thank you very much.

Question: David Risinger - SVB Securities - Analyst : Great. Congrats again.

Question: Liisa Bayko - Evercore ISI - Analyst : Hi there. I just wanted to turn to kind of like what you're going to be -- what your strategy will be. You'll have YUPELRI, you mentioned Ampreloxetine, obviously investing in that and MSA. You have Nezulcitinib. Is there anything else that you're kind of going to be developing or how should we think about kind of your R&D efforts going forward? Thank you.

Question: Liisa Bayko - Evercore ISI - Analyst : Okay.

Question: Liisa Bayko - Evercore ISI - Analyst : Can I -- can I ask one more?

Question: Liisa Bayko - Evercore ISI - Analyst : Okay. On YUPELRI, if I recall correctly and I'm trying to flip through my notes here to see but you had -- you did do some restructuring and I think you adjusted kind of your sales footprint there for you YUPELRI contribution to the hospital side. Are you going to be sort of reinvesting in that now that YUPELRI is maybe taking more of a front seat, or how should we think about your investment in YUPELRI? Thanks.

Question: Liisa Bayko - Evercore ISI - Analyst : Thank you so much.

Question: Douglas Tsao - HC Wainwright - Analyst : Hey, good afternoon, thanks for taking the questions. Maybe just as a follow-up, to Andrew, your question -- your comment around business development for some assets complimentary to YUPELRI and Ampreloxetine, presumably would YUPELRI be the priority, just given the fact that it is already on the market and you would obviously have some amount of time for Ampreloxetine? And then just as a follow-up, just in terms of the Phase III for Ampreloxetine, obviously it's going to be a smaller study, it is going to be sort of a subset of those NOH patients in terms of the MSA population, how long do you think it would be to recruit those? And you obviously have sites and some experience too.

Question: Douglas Tsao - HC Wainwright - Analyst : Okay, great, and thanks and congratulations on the deal.

Question: Joseph Stringer - Needham & Company - Analyst : Hi, hello, can you hear me?

Question: Joseph Stringer - Needham & Company - Analyst : Hello? Oh...

Question: Joseph Stringer - Needham & Company - Analyst : Sorry about that. Thanks for taking our question, and congratulations on the deal. We had a clarifying question on Ampreloxetine. Andrew, you mentioned, and correct me if I'm wrong, the -- that you seem to be open to potentially partnering or potentially outlicensing Ampreloxetine. I'm just curious as to -- if I heard that correctly, and if so, what factors would determine whether or not you sort of kept that program in-house and had some BD activity around that, or whether you would partner the program?

Question: Joseph Stringer - Needham & Company - Analyst : Great. Thank you for taking our question.

Question: Tazeen Ahmad - Bank of America - Analyst : Hi, guys. Thanks for taking my question, and congrats on the deal. A lot of my questions had been asked, but maybe to nuance a little bit, what made you decide that this was the right deal to be doing at this time? And what do you think the most obvious advantage for the Company will be in the nearer-term? Is it that you have the ability to have more freedom to focus on other parts of your pipeline now or is it a pull forward of plans that you already had in place that maybe were constrained with in the past for financial reasons were pursuing?

Question: Tazeen Ahmad - Bank of America - Analyst : Thanks.

Question: Tazeen Ahmad - Bank of America - Analyst : Okay (inaudible).

Question: Tazeen Ahmad - Bank of America - Analyst : Okay, and then maybe just one question. In terms of the size of your R&D organization, just can you remind us what portion of the Company is focused directly on R&D at this time, and do you have plans to add people, scientists to the Company? Thanks.

Question: Tazeen Ahmad - Bank of America - Analyst : OK, thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JULY 13, 2022 / 9:00PM, TBPH.OQ - Theravance Biopharma Inc to Sell Trelegy Ellipta Royalty Interests to